Under the Current Structure of Medicare, Economic Theory Indicates That

question 30

Multiple Choice

Under the current structure of Medicare, economic theory indicates that the movement of the baby boom generation into the retirement phase of life during the years following 2011 will

• A) reduce the share of healthcare services paid for by a third party.
• B) push both healthcare prices and expenditures upward.
• C) increase the incentive of suppliers to provide healthcare services at a low cost.
• D) increase the incentive of consumers to economize on their use of healthcare.

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Definitions:

Genetic Predisposition

The increased likelihood of developing a particular disease or trait based on a person's genetic makeup.

Drug/Alcohol Addiction

A chronic disease characterized by compulsive drug seeking and use, despite harmful consequences, and changes in the brain, which can be long-lasting.

Fetal Brain Damage

Injury to the brain of a fetus, which can occur due to various factors such as oxygen deprivation, infection, or exposure to toxic substances.

Schizophrenia

A mental disorder characterized by abnormal behavior, strange speech, and a decreased ability to understand reality.